| Counterfeit products and materials are knock-off, | | | | consumer products. In recent times, almost |
| bootleg, pirated or other illegally produced materials | | | | everything from counterfeit copies of Microsoft |
| that are produced and sold in violation of the | | | | Windows, to improperly produced baby formula, |
| Intellectual Property Rights of others or in a manner | | | | pharmaceuticals, aircraft and automobile parts are |
| that fraudulently represent their quality or origin. | | | | available in the market. For instance, a report in the |
| Under English Common Law, counterfeiting was | | | | American 'Chemical and Engineering News' says, "just |
| referred to as 'palming off'. This was perhaps | | | | a few years ago, Americans could boast with |
| conceived from the idea that a counterfeiter 'palms | | | | confidence that they had the safest prescription drug |
| off' a counterfeit product as the genuine product by | | | | supply in the world. Now, they cannot be so |
| a ruse with regard to the origin and/or content of | | | | sanguine". |
| the product. The counterfeiter, in the process, | | | | Even the FDA acknowledges the growth and spread |
| therefore usurps the goodwill, recognition, niche and | | | | of counterfeiting as it affects prescription |
| brand name of the originator (i.e. owner of the | | | | medications and other consumables. This is evident |
| trademark/brand) in marketing and creating a ready | | | | from the four-fold increase in counterfeit drug |
| consumer for the counterfeit product, which | | | | investigations carried out by the FDA from five times |
| obviously is a fraud. | | | | per year in the 1990s to twenty times from 2000. In |
| Although, counterfeiting is often used to describe | | | | response to the threat of counterfeit, the |
| trademark infringement, it may also involve any/all | | | | Commissioner for Food and Drugs established a |
| aspect of Intellectual Property Right (IPR) violation, | | | | Counterfeit Taskforce in July 2003. |
| which includes patents, copyrights, trade secrets etc. | | | | The impact of the increasing rate of counterfeiting |
| The effect of counterfeiting activities has been | | | | can be broadly seen from two perspectives. The |
| known to be quite debilitating for the IPR owner, the | | | | first, which is obviously the most direct and alarming |
| consumer and the nation at large. This fact is | | | | effect on the populace, is the health hazards and |
| arguable from the perspective that counterfeit goods | | | | other is personal safety concerns associated with |
| are generally of lower quality and most often, lower | | | | consumption of counterfeit drugs and other |
| priced. Thus by confusing or misleading the consumer | | | | consumables. The second direct impact has to do |
| and by providing a lower priced opportunity for what | | | | with the reduced customer welfare that accompanies |
| appears to be the same commodity, counterfeiters | | | | counterfeiting, since a counterfeiter doesn't care |
| tend to eat into the IPR owner's market and the | | | | what happens to its customers after purchase has |
| value of its Intellectual capacity, while at the same | | | | been made. |
| time putting the consumer at health and safety risks, | | | | The message here is that despite the improved |
| because of the sub standard product being | | | | monitoring and surveillance technology of the |
| consumed. | | | | developed world, counterfeiting is still a growing |
| The business of counterfeiting has become especially | | | | menace. The world is not really as safe as you and I |
| profitable and sophisticated, with the involvement of | | | | would want it. The best we can do is to wake up to |
| several organized crime groups in the business. The | | | | the challenge. Be sure you purchase drugs, food |
| problem is therefore expanding alarmingly and | | | | items and other consumables from recognized stores; |
| becoming more pervasive. The range of counterfeit | | | | if for whatever reason you doubt the originality of |
| materials and products cuts across a wide range of | | | | any item, then don't buy it. |